Gold prices were hovering below recent record peaks on Tuesday after the U.S. Federal Reserve chair tempered expectations for more substantial interest rate cuts this year, with investors looking forward to a series of labour data this week for further insights.

After falling in the earlier today, gold prices recouped its losses as geopolitical tensions raised safe-haven demand. The market focuses on US Fed Chair Powell's comments on Monday.

Gold pulled back from a record high after Federal Reserve Chairman Jerome Powell signaled policymakers aren’t in a rush to aggressively lower interest rates following Wednesday’s half percentage point cut by the US central bank.